Hurco Companies reported results for the first fiscal quarter ended January 31, 2016. Net income was $3,895,000, or $0.58 per diluted share, compared to $3,766,000, or $0.57 per diluted share, for Q1 2015.
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Sales and service fees for the first quarter of fiscal 2016 were $56,503,000, an increase of $5,531,000, or 11%, compared to the corresponding period in fiscal 2015.
Excluding a negative currency impact of $3,531,000, sales and service fees for the first quarter of fiscal 2016 reflected growth of $9,062,000, or 18%, over the corresponding period in fiscal 2015. Sales for the first quarter of fiscal 2016 included $10,962,000 from the recently acquired businesses of Milltronics and Takumi.
North American sales for the first quarter of fiscal 2016 increased by 28% compared to the corresponding period in fiscal 2015, primarily due to sales from the acquired business of Milltronics Manufacturing Company. Milltronics sales totaled $6,085,000 for the first quarter of fiscal 2016.
Hurco acquired the assets of this business in July 2015 and is operating it through its newly-formed subsidiary, Milltronics USA, Inc. Milltronics manufactures and sells knee mills, tool room bed mills, vertical machining centers, combination lathes, slant-bed lathes, and horizontal machining centers.
European sales for the first quarter of fiscal 2016 decreased by 9% compared to the corresponding period in fiscal 2015, reflecting sales growth of 1% offset by a negative currency impact of 10%. The year-over-year growth in European sales was driven by increased shipments of higher-performance machines in France and Italy.
Asian Pacific sales for the first quarter of fiscal 2016 increased by 98% compared to the corresponding period in fiscal 2015, primarily due to sales from the acquired business of Takumi Machinery. Takumi sales totaled $4,877,000 for the first quarter of fiscal 2016.
Hurco acquired certain assets of this Taiwan-based business in July 2015 and is operating it through its subsidiary, Hurco Manufacturing Limited. Takumi designs and manufactures CNC vertical machining centers, double column machining centers, high speed bridge machines and other machine tools equipped with industrial controls.
Orders for the first quarter of fiscal 2016 were $51,290,000, an increase of $6,281,000, or 14%, compared to the corresponding period in fiscal 2015.
Excluding a negative currency impact of $3,412,000, or 8%, orders reflected growth of $9,693,000, or 22%, over the corresponding period in fiscal 2015. Orders for the first quarter of fiscal 2016 included $6,229,000 from the recently acquired businesses of Milltronics and Takumi. ■